Sony Ericsson Reveals Third Quarter Financial Results

Sony Ericsson recently revealed their third quarter financial results, revealing a year-on-year volume growth of more than 30 percent. The company managed to increase its sales, especially in the lower end range of mobile phones.

It looks like Sony Ericsson learned a thing or two from Nokia's strategy. The company's ASP (average sales price) dropped to EUR 120, from EUR 147 last year, in the same period. That's a huge drop, but at least it got them selling more mobile phones than in the past. The company managed to reach almost 26 million units, much more than the 20 million that people purchased last year from S-E.

All these figures translate into a great profit and a step forward for this company. It might not be enough for moving one step forward in the list of top handset producers, although the results of other companies are also quite important. Motorola is currently on the third place, ahead of Sony Ericsson, making them direct competition. In fact, Motorola lost its second place on account of its own profit fall and not that of other companies' growth.

"Low- and mid-tier priced models such as the W200 Walkman phone and simple 'talk and text' range of phones have been key volume drivers during the quarter, while the high-spec P1 smartphone and W580 slider Walkman� phone have been well received and strengthen the portfolio at the higher-end", said Miles Flint, President of Sony Ericsson.

Sony Ericsson managed to go past EUR 3 million in sales, little over last year. Still, the surprise comes in the shape of a USD 4 million profit drop, when compared to the second quarter's results. It's not that much of a big deal, as they still managed to score some big numbers, but the ASP drop seems to have put its toll on the company's results, after all.